Human assets are one of the most important resources available to any organization and employee competence and commitment largely determine the objectives that an organization can set for itself and to its success in achieving them. Therefore, the demand for effective employees continuously increases in both public and private organizations. The ‘Competency-based’ approach to human resource management has become integral during the last thirty years, with ‘Competency’ encompassing the knowledge, skills, abilities, traits and behaviors that allow an individual to perform a task within a specific function or job (Boyatzis, 1982).

Organizations try to increase their capabilities by investing more in training and management development and Ichniowski et al. (1996) state that HRM practices have a greater effect on organizational performance than on individual performance. Moreover, human resource development encourages competency development by forming opportunities within the organization for employees to develop their competencies for both their own benefit and the benefit of others (Rao, 2000a; Rodrigues & Chincholkar, 2005). The competency-based approach has become integral in HRM during these days.

Accarding to Lucia and Lepsinger competency: a cluster of related knowledge, skills, and attitudes that affects a major part of one's job (a role or responsibility), that correlates with performance on the job, that can be measured against well-accepted standards, and that can be improved via training and development. So a competency is bigger than a skill, includes knowledge, connects to performance, and can be improved. That's one competency when treated in isolation. We get even more power from a competency model: the integrated set of competencies required for excellent performance.

Competency language recognizes that success in a position requires more than just great KSAs (Knowledge, skill and attitude. It also includes the interpersonal skills and behaviors necessary for success. Competency is an observable, measurable pattern of skills, knowledge, abilities, behaviors & other characteristics that an individual needs to perform work roles or occupational functions successfully.”

A competency model is a framework that identifies a combination of skills, knowledge and behaviors. An organization customizes the framework to pinpoint the unique combination of qualities the company needs in its employees to be successful. People's skills and experience are an important part of the competency model, but it also helps to define the less tangible characteristics, such as behavior, values and transferable knowledge. This framework is not created in a vacuum. In fact, the business’ aim, culture and direction are to be taken into consideration, which allows the organisation to link talent management practices directly to its mission and goals. It gives a commonality of focus for driving business.

A competency model is a descriptive tool that identifies the competencies needed to operate in a specific role within and job, occupation, organization. Simply stated, a competency model is a behavioral job description that must be defined by each occupational function and each job (Fogg, 1999). Depending on the work and organizational environment, a group of 7 to 9 competencies is usually required of a particular job and is depicted in a competency model.

Competencies are also context-specific (Boyatzis, 1982; Delamare Le Deist & Winterton, 2005;). Some competencies are more important or essential than others for a position. The degree or level to which they are needed or demonstrated may vary depending on the job or task required of the position.

In fact, authors believe that you can use the competency models to tie together all the pieces of ‘workforce management. They write, “The best succession planning system in the world cannot succeed unless the selection, training and development, and appraisal systemsall work effectively too. These systems must be designed to ensure that people who have the required capability or potential are hired, their ability is enhanced, and their potential is nurtured through learning experiences, coaching, and feedback. We strongly believe that the use of competency models across all human resources management systems will provide the necessary consistency and continuity.”

The value of competency models is that a whole-person assessment or holistic approach can be developed to examine the competencies that an individual possesses and may still need to acquire as required by a given industry or occupation. The information can then be used successfully by human resources development (HRD) or workforce development professionals for various applications with the workforce. For example, a competency model can be appropriate for “integrating education and training, aligning both with the needs of the labor market and promoting mobility [and transparency] for individuals (e.g., vertical as in career progression, lateral as in movement between sectors) especially for workers faced with job insecurity” (Delamare Le Deist & Winterton, 2005;). Therefore, competency-based hiring, assessment, and training and development practices have emerged, as illustrated in the figure below.

Since the 1990s, competencies have become the code words for the human resources and strategic management practices of recruiting, selecting, placing, leading, and training employees and, evaluating employee performance. Competency models also have been used to classify jobs in both the private and public sectors. When engaging in succession planning, competency models are used by business is to prepare and advance competent incumbent workers to vacant positions of leadership. When a competency model has been developed for each position within an organization, the human resources, training, management and employees are working in unison to meet the goals of the organization. To be used successfully in an organization or other professional networks, competencies must be inclusive or integrated throughout the human resources practices.

While competency models are useful for business planning purposes, individuals seeking employment, advancing in their jobs, or career transition, can benefit from career exploration, planning and development with the use of a competency model framework.

“Training,” according to The ASTD Reference Guide to Workplace Learning and Performance (HRD Press, 2000), “is a short-term learning intervention. It is intended to build on individual knowledge, skill, and attitude to meet present or future work requirements.” Training should have immediate and specific impact on work performance and be grounded on requirements of an organization and its unique corporate culture. In that respect, it differs from education and employee development, which prepare people for work and life.

Training can become competency-based in at least two ways: 1) focusing attention on training to build individual competence relative to a competency model of exemplary performance, or 2) building individual competence in an organizational context (Refer Fig. – 3)

Competency-based training can be achieved by focusing attention on building individual competence. Here, the responsibility for training and competency building shifts from the organization to the individual. While the organization remains responsible for clarifying the competencies essential for successful performance in a job category, department, or occupation; individuals are expected to take more responsibility for building their own competencies. They do that by becoming more proactive, taking the initiative to assess their competencies against existing competency models supplied by the organization. Found in their occupation, or developed through the process of learning, strategies are supported by the training and development initiatives of the organization (as indicated in Fig. – 3)

Building individual competence in an organization poses a special challenge because attention is usually directed to the group rather than individual performances. But still, organizations make sense to start thinking in terms of team competency models rather than job, department, or occupational competence. Each individual works within a team, and the team members should collectively possess the ability to meet or exceed customer expectations. To that end, a team competency model should be developed. Training can narrow existing deficiencies in individual performance.

Competency based training models can be used to guide individual professional development, as well as to assist trainers in developing curricula that meet the needs of employers. Competency-based materials that can be used by stakeholders ensure the workforce possesse the competencies necessary to be successful on the job, and help employers meet their organizational goals.

Potential employees must consider competencies required of a position of interest and develop and convey the desired knowledge, skills, abilities, and other characteristics to successfully perform at, and advance in a job within an organization. Individuals must demonstrate general competence in the following four areas:

Meaning competence – understanding the culture of the organization and acting in accordance with that

Relation competence – creating and maintaining connections with stakeholders of the tasks or organization;

Learning competence – identifying solutions to tasks and reflecting on experiences so that it improves the next task to be completed; and

Change competence – acting in new ways when the task or situation calls for it.

These competencies would be required and practiced by both average and exemplary employee. By understanding the competency model for a position or organization, the individual gains an awareness of the output or products or services delivered through the position and has a “destination for a learning process”. Where there are gaps in acquisition of these competencies, an employee may experience difficulty on the job. If training or development opportunities are not taken advantage of once employed, mastery is not accomplished leading to ineffective behavior. A desire to learn for overcoming such situations is to be incorporated in the minds of the employees as a prerequisite to training intervention. An understanding of the employee learning styles is also desirable at this stage for designing the training strategy, (see figure 4). Thus, through training resources, and other developmental opportunities such as mentoring and modeling behaviors through management leadership, many competencies can be learned.

Dubois (1993) explains that with the assistance of human resources development systems based on competency modeling such as the five-step Strategic Systems Model (SSM), one can tram individuals in their present jobs, educate workers for future jobs, and develop workers by assisting in learning and acquisition of knowledge not specific to any particular job. Within the context of the organizational and external environment, and strategic business directives, the SSM:

Analyzes and assesses needs and plans for competency-based education;

Develops competency models based on needed activities;

Creates a competency-based curriculum plan where learning takes place in logical, meaningful segments;

Designs and develops competency-based learning interventions with a focus on what is to be mastered and what level of mastery is required of the critical job competencies; and

Evaluates activities based upon one of the two models:

Context, Input, Process, and Product Model

Kirkpatrick Model

Analyses of the individual's competencies, work or organizational setting, and tasks or job demands are all considered in developing competency-based training (see fig. – 5). The dynamic interaction of these components produces a specific outcome, result, or output in terms of performance, products, procedures or processes (Boyatzis, 1982). Dubois (1993) describes several learner-centered strategies for providing competency-based learning experiences that include simulation, business game, the case method process, computer-based learning, tutorials, videotapes, CD-ROMs, books, coaching, apprenticeship, and job rotation. For most of these strategies, the learner is active in the learning process and the competency or competencies are applied m real world, work experiences or scenarios.

Another competency-based method of training uses mentoring to employees. In this instructional situation, competency models are used as a guide for systematic training or practical teaching. Agreed upon behaviors are modeled and coached, mentors provide feedback throughout the training process, and behavioral assessments occur through observation.

Based on this assessment, a mentor works with the individual employee to develop an action Plan that outlines the remaining competencies an employee must achieve for the successful performance of the job. Using the competency model developed for that subject area of teaching, the path toward attainment of a teacher licensure or credential is mapped out. Hyland (1993) cautions that competency-based education trains one to be competent not expert, but expertise can be acquired through additional professional development opportunities and experiences.

Important to the notion of competency-based training is that what is learned is based on industry standards of competence. More specifically, the education is geared to the work role not the training role. An individual will be able to perform in his role according to industry standards, not just by knowing about the tasks and skills required to perform in the work setting, but upon consideration of the training on several dimensions. Furthermore, these competencies can be transferred to other organizations supporting labor mobility in a competitive economy. Based on these notions here we do present the final model of competency enhancement through training interventions (Fig. - 6). Finally, from a multidimensional holistic model of competence, where cognitive competencies, functional or work roles competencies, and social competencies are considered in unison, opportunities exist to prepare a worker for the needs of the workplace in a global economy (Delamare Le Deist & Winterton, 2005).

The model portrays competencies as the underlying attributes of an individual, while competencies are observable performances meeting a defined set of standards in the conduct of any job. The workforce can be developed from a defined state to a desired state of performance or outcomes through training interventions i.e., competency building. Competency audit suggests the trainers to design the learning requirements to be incorporated in the training programs. Managing the agendas of both the individual organizational members and the corporate competency culture, will enable the delivery of the program the desired outcomes. Thus competency based training can prove to be the core competence of the HR helping in retention of talent and increase of productivity keeping the costs in control. However further research in the area of competence based training and development can be promoted in the realization of organizations competitive advantage.

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